Lean operating principles began in manufacturing environments and are known by a variety of synonyms; Lean Manufacturing, Lean Production, Toyota Production System, etc. It is commonly believed that Lean started in Japan (Toyota, specifically), but Henry Ford had been using parts of Lean as early as the 1920's.
The goal of lean production is described as "to get the right things to the right place at the right time, the first time, while minimizing waste and being open to change.
Lean manufacturing is based on 5 Lean Principles:
The key element in Lean is to shorten the time from customer order to bank payment. This is achieved by identifying and eliminating waste. In a conventional supply chain and in individual businesses, there are potentially huge amounts of different wastes, known as "The 7 Wastes".
- Specify what creates value from the customers perspective
- Identify all the steps along the process chain
- Make those processes flow
- Make only what is pulled by the customer
- Strive for perfection by continually removing wastes
source :www.lean101.ca
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